Contract farming in marigold: A new technology in improving the efficiency of marketing

Abstract

:The present study was conducted to assess economics of marigold cultivation under contract farming vis-à-vis non-contract farming in erode district of Tamil Nadu and to examine the yield and price uncertainty, contractual arrangements in marigold cultivation. There were no price uncertainties in contract farming whereas there were very high price uncertainties in the case of noncontract farming. Farmers were satisfied with terms of contract. The major benefits to the contract farmers were assured buyer for the produce, all the produce can be sold even in case of damage and the farm gate collection. Important reason given by the former contract farmers for discontinuing cultivation of marigold on contract was low price for the produce.